May 7, 2024
Ryanair Sees Summer Fares Lower Than Expected, Reuters Says
Bloomberg News
,(Bloomberg) -- Ryanair Holdings Plc expects summer ticket prices to be lower than previously estimated as the airline industry suffers from grounded planes and a supply chain backlog.
Fares during the peak travel season will likely be flat to up 5% at most, Reuters reported, citing Ryanair Chief Executive Officer Michael O’Leary. He previously said the airline was doing its budgets based on a pricing increase of between 5% and 10%, Reuters said.
Ryanair fell as much as 6.4%, with rivals EasyJet Plc and Wizz Air Holdings Plc falling about 5.5% and 2%, respectively.
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O’Leary told reporters the lower-than-expected pricing was “surprising” as some Airbus SE fleet remain grounded for maintenance of Pratt & Whitney engine issues. The Irish carrier is facing aircraft delivery delays with Boeing Co. jets this year, forcing it to reduce its annual passenger forecast and cut flight frequencies.
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